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Ryanair Braces for U.K. Pilots Strike as Holiday Weekend Looms

Ryanair Braces for U.K. Pilot Strike After Losing Court Faceoff

(Bloomberg) -- Ryanair Holdings Plc faces disruption to U.K. flights ahead of the year’s busiest travel weekend after failing in its legal bid to prevent a strike by pilots in its biggest market.

Judge Christina Lambert refused to block the walkout, dismissing a request for a last-minute injunction against the action Wednesday. The two-day strike is set to start at midnight local time, threatening services at London Stansted, Ryanair’s largest hub.

The verdict adds to pressure on Chief Executive Officer Michael O’Leary as he grapples with labor disputes across Europe at the height of the summer travel season. Ryanair, Europe’s biggest low-cost airline, is slated to carry 259,000 people on more than 1,700 U.K. flights over the 48 hours, according to data provider Cirium. Annual travel peaks on Friday as Brits get away for the long weekend that goes through Monday, the last bank holiday of summer.

A strike by U.K. cockpit crews could have a greater impact than any action Ryanair has faced since being forced to recognize unions less than two years ago, Sanford C. Bernstein analyst Daniel Roeska said earlier.

Still, Ryanair said in a Twitter post it expects to operate its full schedule -- while not ruling out some delays or flight changes. The Dublin-based company has said that the British Airline Pilots’ Association, which called the strike, represents a minority of its pilots.

Last-Minute Talks?

Balpa said in a statement after the ruling that it offered Ryanair an “olive branch” to avoid strikes over the next two days, which the company rejected. The union plans a further two-day walkout in September.

“We are extremely disappointed that Ryanair have taken such a belligerent and negative stance,”’ Balpa General Secretary Brian Strutton said in the statement.

The English court’s decision contrasted with an earlier ruling in Ryanair’s home market of Ireland, which barred pilots there from walking out.

O’Leary upped the ante in the labor clashes last month when he told pilots and flight attendants that hundreds of jobs must go and bases close to cope with a possible no-deal Brexit and slower growth after the grounding of Boeing Co.’s 737 Max jet.

Cabin crew at all 13 of Ryanair’s Spanish bases have threatened to strike next month over plans to close three locations unless an agreement is reached with unions. Staff in Portugal are in the midst of a five-day action over holiday allowances and dues.

Ryanair shares closed down 1.1% on Wednesday before the U.K. court decision. The company’s U.S. depositary receipts were little changed at 3:23 p.m. in New York.

--With assistance from Peter Flanagan.

To contact the reporters on this story: Jonathan Browning in London at jbrowning9@bloomberg.net;Siddharth Philip in London at sphilip3@bloomberg.net

To contact the editors responsible for this story: Anthony Aarons at aaarons@bloomberg.net, ;Anthony Palazzo at apalazzo@bloomberg.net, Peter Chapman, Christopher Jasper

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